Financing low end Class D Single family.

[Wilson Lee]

We own some class D 3 and 4 unit builds which are profitable. The NOI has been suburb. It was a pain mapping out a system to manage such a demanding tenant pool. But now that have systems in place we want to expand and are looking to single family class D. I purchased one! I have ran into a financing hiccup though.

No one wants to fiance low priced single family, with loan amounts of $50,000 and under.   The 3 and 4 unit builds are valued enough to get normal financing.  I have 1 building can't get a refi on it at all.  I found one local bank who would.  But they are not investor friendly and would only finance for 15 years. Here is the numbers. on it

Project cost total, $45,000.   Purchased $13,000 Rehab $28,000  closing cost $4,000 (purchase and refi)

Appraised for 66K (Current rehab is done)

Max loan amount $49,250 cash out. (75% LTV)

Rents for $800/month.  Tenant placed with a 12 month lease. 

So, what is the main option people have to get long term financing?  portfolio loans?  Also, We would like to buy 2 or 3 at a time but, to do that, we can't buy in cash.  What finance product exist for this?